Category name for income tax refund

SuzannePaschall

Where do I find the category for income tax refund income?

Mikeg

@SuzannePaschall,
Going to depend on the type of entity you are operating. If you are in the US I'll be able to answer that question.

SuzannePaschall

I'm an LLC in US. Sole proprietor type.

Mikeg

If this is an income tax i.e federal or state, then the refund would go to owners draw. The reason being is that a single member LLC can’t deduct federal or state income taxes on Schedule C. Since you didn’t deduct it would not be income. The deposit in your business account now represents an owner contribution. Hope that makes sense

SuzannePaschall

Yes it does...thanks...